2026-2030 Capital Improvement Plan

ERP System 2026 thru 2030 Project Details Shakopee, MN

Project #

IT-012

Project Name

ERP System

Total Project Cost

$280,000

Contact

I.T. Director Equipment

Department

I.T. Internal Service Fund Equipment: Computers

Type

Category

Priority

2 - Smart to do

Status

Active

Useful Life

15 years

Fund

I.T. Internal Service Fund

Description The City is nearing the end of the life cycle for the current JD Edwards financial and payroll software and a new ERP system is expected to replace various applications currently used. An official sunset date of the curert software has not been announced. New software is anticipated to have fully-integrated human resources, payroll and general ledger with built in workflows (time entry/accounts payable/on boarding/etc.), budgeting, financial reports and dashboards. Justification Shakopee is a member of the LOGIS consortium which provides technology solutions and support for local government members. The consortium completed an 18 month process researching, evaluating and selecting a new enterprise resource planning (ERP) system provider to replace the finance and human resources software. The consortium originally selected Oracle Cloud ERP system in 2024, which is a top tier cloud based solution and includes guaranteed pricing over the next ten years at rates below what the City would be able to obtain on an individual basis. This project has since been canceled by the consortium members after concerns during the implementation phase of the project. This means the City will need to evaluate options and plan for replacement of the current software.

Expenditures

2026

2027

2028

2029

2030

Total

280,000 280,000

Equip/Vehicles/Furnishings

0 0

0 0

0 0

0 0

280,000 280,000

Total

Funding Sources

2026

2027

2028

2029

2030

Total

255,000 25,000 280,000

I.T. Internal Service Fund

0 0 0

0 0 0

0 0 0

0 0 0

255,000

General Fund

25,000

Total

280,000

Budget Impact Funding for the implementation cost of $255,000 was included in the 2024 budget and carried forward in the I.T. Internal Service Fund.. These funds have been set aside for ERP system replacement.

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